Slide 1: First Quarter 2022 Financial Results
First Quarter 2022 Financial Results May 5, 2022
Slide 2: Forward-looking Statements and Non-GAAP Financial Information
Forward-looking Non-GAAP Financial Statements Information This presentation contains forward-looking statements, which reflect the current views of We use non-GAAP* financial measures, such as adjusted net income, adjusted diluted Zoetis with respect to: business plans or prospects, future operating
Slide 3: Kristin Peck, Chief Executive Officer
Kristin Peck Chief Executive Officer
Slide 4: Key Takeaways
FIRST QUARTER FINANCIAL RESULTS Key Takeaways 1Q Growth in line with expectations • Generated 9% operational1 revenue growth and 8% operational1 increase in adjusted net income2, with revenue in the U.S increasing 9% and International up 8% operationally. • Companion animal revenue grew 20% operatio
Slide 5: Wetteny Joseph, Executive Vice President and Chief Financial Officer
Wetteny Joseph Executive Vice President and Chief Financial Officer
Slide 6: Income Statement Highlights
FIRST QUARTER FINANCIAL RESULTS Income Statement Highlights First Quarter 2022* 2021* Change Revenue $1,986 $1,871 6% Reported Net Income 595 559 6% Reported Diluted Earnings Per Share $1.26 $1.17 8% Adjusted Net Income1 625 603 4% Adjusted Diluted Earnings Per Share1,2 $1.32 $1.26 5% * Millions of
Slide 7: Adjusted Income Statement Highlights
FIRST QUARTER FINANCIAL RESULTS Adjusted Income Statement Highlights First Quarter Foreign 2022* 2021* Change Exchange Operational1 Revenue $1,986 $1,871 6% (3)% 9% Adjusted Cost of Sales2 565 543 4% (4)% 8% as a percent of revenue3 28.4% 29.0% NA NA NA Adjusted SG&A Expenses2 458 401 14% (2)% 16% A
Slide 8: U.S. Segment Performance
FIRST QUARTER FINANCIAL RESULTS U.S. Segment Performance First Quarter 2022* 2021* Change Revenue $1,020 $933 9% Companion Animal 774 658 18% Livestock 246 275 (11)% Cost of Sales 185 184 1% Gross Profit 835 749 11% Gross Margin 81.9% 80.3% NA Operating Expenses 165 131 26% Other (Income)/Deductions
Slide 9: International Segment Performance
FIRST QUARTER FINANCIAL RESULTS International Segment Performance First Quarter Foreign 2022* 2021* Change Exchange Operational1 Revenue $948 $922 3% (5)% 8% Companion Animal 489 418 17% (6)% 23% Livestock 459 504 (9)% (6)% (3)% Cost of Sales 265 282 (6)% (6)% —% Gross Profit 683 640 7% (5)% 12% Gro
Slide 10: International Segment Performance
FIRST QUARTER FINANCIAL RESULTS International Segment Performance First Quarter Foreign 2022* 2021* Change Exchange Operational1 Total International $947.5 $922.3 3% (5)% 8% Australia 64.9 57.1 14% (7)% 21% Brazil 76.8 73.6 4% (4)% 8% Canada 49.0 46.1 6% —% 6% Chile 41.2 34.0 21% (7)% 28% China 102.
Slide 11: Financial Guidance
FIRST QUARTER FINANCIAL RESULTS Financial Guidance Selected Line Items (millions of dollars, except per share amounts) Full Year 2022 Revenue $8,225 to $8,375 Operational growth1 9% to 11% Adjusted cost of sales as a percentage of revenue2 Approximately 29% Adjusted SG&A expenses2 $2,050 to $2,100 A
Slide 12: Q&A
Q&A
Slide 13: Appendix
Appendix
Slide 14: Reconciliation Of Reported Growth To Non-GAAP Financial Measures
FIRST QUARTER FINANCIAL RESULTS Reconciliation Of Reported Growth To Non-GAAP Financial Measures Three months ended March 31, 2022* 2021* Change Foreign Exchange Operational1 Revenue by Product Category Parasiticides (small animal) $379 $309 23% (2)% 25% Key Dermatology 307 245 25% (3)% 28% Diagnost
Slide 15: Zoetis
zoetis